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Pollock says, "Every argument must proceed from some premises, and if the skeptic calls all relevant premises into doubt at the same time then there is no way to reason with him." What is Pollock's answer to the skeptics?
Weighted Average Cost of Capital
An average representing the expected return on all of a company's securities, weighted according to the proportion each contributes to the total capital structure.
Systematic Risk
The risk inherent to the entire market or market segment, also known as market risk.
Levered Firms
Companies that use debt in their capital structure alongside equity.
Unlevered Firms
Companies that operate without the use of borrowed money or debt in their capital structures.
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